According to Cointelegraph, the Securities and Futures Commission (SFC) of Hong Kong has issued the first set of operational licenses for 2025 to two cryptocurrency trading platforms. This marks a continuation of the regulator's licensing initiative that began in mid-2024, with a total of seven crypto licenses granted so far.
On January 27, the SFC awarded operational licenses to PantherTrade and YAX, two crypto exchanges based in Hong Kong. Public records from the Hong Kong government indicate that both entities are registered under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO). Since 2020, ten crypto exchanges have formally registered under AMLO, allowing them to operate virtual asset trading platforms in Hong Kong. In October 2024, SFC CEO Julia Leung expressed the regulator's goal to issue licenses to 11 crypto service providers by the end of the year. The SFC had completed initial on-site reviews for these firms, focusing on client asset protection, Know Your Customer (KYC) processes, and cybersecurity measures.
In December 2024, Hong Kong granted licenses to four additional virtual asset trading platforms: HKbitEX, Accumulus, DFX Labs, and EX.IO. Eric Yip, the SFC's executive director of intermediaries, emphasized the agency's proactive engagement with the senior management and ultimate controllers of virtual asset trading platforms (VATPs). This engagement aims to ensure adherence to regulatory standards and expedite the licensing process. Yip highlighted the SFC's commitment to balancing investor protection with the ongoing development of the virtual asset ecosystem. Currently, only four cryptocurrencies are legally available for trading in Hong Kong: Bitcoin (BTC), Ether (ETH), Avalanche (AVAX), and Chainlink (LINK).